AmericanGirl213
New Member
Okay I am SO stuck on this!!!!! Can someone PLEASE explain to me this whole concept!!! Its the only thing Im stuck on and its killing me!!!!!!!!!!!!!!!!!
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The Multiplier re:Economic Growth! (1 Viewer)
- Thread starter AmericanGirl213
- Start date
AmericanGirl213
New Member
hahaha...yeah Im American. Born in California (yes...in Los Angeles and NO im not lying!haha) Moved down here 5 years ago with my parents.
AmericanGirl213
New Member
no way!!! I might be going to Arkansas late next year! wow thats so wierd! I might go to UCA (University of Central Arkansas) if the HSC doesnt go as well as I'd like. Yeah...Australia's pretty good. I wouldnt say otherwise like this anyways or else itll turn from a thread about economics to "Lets kill Stephannie-The-American-Girl cause she doesnt like australia!" haha. Nah, sydney's a beautiful city...but I miss home alot! how about you?
Bimbo
Southern Girl
- Joined
- Apr 29, 2003
- Messages
- 243
wow really?? why UCA? i'm thinking of going to uni there as well, i'd like to go to university in Georgia, but i'll probably end up in Arkansas or Texas. Baker U in Texas looks ok...have all your friends just graduated?? i wish the HSC was over.
I like Aus. but i think i'd be happier in the States. Just like it better i guess and i think there's more opportunities over there. Ha have you still got your accent??
I like Aus. but i think i'd be happier in the States. Just like it better i guess and i think there's more opportunities over there. Ha have you still got your accent??
I'm not at all American. But....
In simple terms the multipler is like the domino effect of increased government expenditure, and if you work out the multiplier, you can tell how much increasing expenditure by x amount will up the GDP. Its like, if the government spends $100 on a road, then the road making company has an extra $100 of business, so they spend that on something, the person who makes the something will also spend more, etc etc, so the economy benefits by more than just the first $100
The formula to work it out is 1/MPS, just follow that and its all good. e.g If a government has a MPS of 0.2 and wants to know the multiplier effect of spending $100.
The multiplier >1/mps > 1/0.2 >5
Then multiplier x proposed spending > 5 x $100 = $500.
So GDP will increase by $500.
Hope that helps
But....In simple terms the multipler is like the domino effect of increased government expenditure, and if you work out the multiplier, you can tell how much increasing expenditure by x amount will up the GDP. Its like, if the government spends $100 on a road, then the road making company has an extra $100 of business, so they spend that on something, the person who makes the something will also spend more, etc etc, so the economy benefits by more than just the first $100
The formula to work it out is 1/MPS, just follow that and its all good. e.g If a government has a MPS of 0.2 and wants to know the multiplier effect of spending $100.
The multiplier >1/mps > 1/0.2 >5
Then multiplier x proposed spending > 5 x $100 = $500.
So GDP will increase by $500.
Hope that helps
AmericanGirl213
New Member
ellipsis
Thanks heaps...that actually really did help....and what you wrote is going STRAIGHT into my notes! thanks heaps!!!
"Bimbo" (I realy hate calling you that but I dont know what else to call you!! hahaha) Thats what Ive been thinking too (with the whole oppertunities thing). Why UCA? I actually know a guy there that used to live here (we were pretty close when he was here) so hes been helping me out alot with getting into college over there. He actually enrolled in the ROTC but dropped out of it (HE says its cause he didnt want to do medicine anymore...but I bet it was the training!haha). And YES! I still have an accent! apparently its been aussie-fied though. So its an american/aussie accent. Do you still have yours? Is it a killer southern one?!?! haha that guy I was tellin you about had an acent like mine, but that southern accent came out every now and then! (hey...you got msn or some junk like that so we can talk without it all going on this thing!?haha)
Thanks heaps...that actually really did help....and what you wrote is going STRAIGHT into my notes! thanks heaps!!!
"Bimbo" (I realy hate calling you that but I dont know what else to call you!! hahaha) Thats what Ive been thinking too (with the whole oppertunities thing). Why UCA? I actually know a guy there that used to live here (we were pretty close when he was here) so hes been helping me out alot with getting into college over there. He actually enrolled in the ROTC but dropped out of it (HE says its cause he didnt want to do medicine anymore...but I bet it was the training!haha). And YES! I still have an accent! apparently its been aussie-fied though. So its an american/aussie accent. Do you still have yours? Is it a killer southern one?!?! haha that guy I was tellin you about had an acent like mine, but that southern accent came out every now and then! (hey...you got msn or some junk like that so we can talk without it all going on this thing!?haha)
Bimbo
Southern Girl
- Joined
- Apr 29, 2003
- Messages
- 243
oh ok...i've heard good things about UCA, it's in Conway or something? like not far from Little Rock, in the centre somewhere.
yes i still have an accent...it got quite 'aussie' for a while when i was younger, then i went back for junior high it came right back it's not so strong now, but your can definitely tell i'm american...not always a good thing! yep i have msn, i'll PM u my email address....just add me, i have to go, but i'm sure i'll catch you on there sometime nice talking to you!
yes i still have an accent...it got quite 'aussie' for a while when i was younger, then i went back for junior high it came right back
it's not so strong now, but your can definitely tell i'm american...not always a good thing! yep i have msn, i'll PM u my email address....just add me, i have to go, but i'm sure i'll catch you on there sometime nice talking to you!